An Empirical Study on the Impact of Culture on Audit-Detected Accounting Errors

2003 ◽  
Vol 22 (2) ◽  
pp. 281-295 ◽  
Author(s):  
K. Hung Chan ◽  
Kenny Z. Lin ◽  
Phyllis Lai Lan Mo
Keyword(s):  
Power Distance ◽  
Explanatory Power ◽  
Individual Performance ◽  
Relative Magnitude ◽  
Cultural Dimensions ◽  
Cultural Perspective ◽  
Large Power ◽  
Personnel Turnover ◽  
The Impact ◽  
Accounting Errors

This study draws on the theoretical framework of Hofstede's model to examine the impact of different cultural dimensions on audit-detected accounting errors. Based on the accounting errors detected in 80 foreign enterprises of different cultures operating in China, we test the direct effect of the cultural dimensions, power distance and individualism, on the magnitude of accounting errors. The results indicate that power distance and individualism have significant explanatory power in describing the differences in the relative magnitude of errors. Centralization of power in a few individuals, management override of controls, and less competent personnel are important attributes of a large power distance enterprise that contribute to larger errors. Enterprises of an individualist culture, which are characterized by higher personnel turnover and more reliance on accounting numbers for individual performance evaluation, are found to have larger errors. These results should be useful for auditors in assessing the likelihood of material errors from a cultural perspective.

Entrepreneurial intentions and perceived barriers to entrepreneurship among youth in Uttarakhand state of India

2018 ◽  
Vol 10 (4) ◽  
pp. 243-269 ◽  
Author(s):  
Lalit Sharma
Keyword(s):  
Interactive Effect ◽  
Cultural Dimensions ◽  
Perceived Barriers ◽  
Entrepreneurial Intentions ◽  
Primary Data ◽  
Cultural Perspective ◽  
Validity And Reliability ◽  
Content Type ◽  
Regional Cultures ◽  
The Impact

Purpose The purpose of this paper is to investigate the role of gender and regional cultures on entrepreneurial intentions and perceived barriers to entrepreneurship in two diverse regions of a state. Authors in the past have consistently expressed the need for studies on entrepreneurial intentions that would encompass both the gender and cultural dimensions, as there is a potential interactive effect between sex and culture, which remains largely unstudied despite its potential to provide an explanation for the contradictory findings that have emerged when either sex or culture was studied separately. Design/methodology/approach This is a quantitative study. The primary data were derived from the students of professional courses. The sampling method used was proportionate stratified sampling. The scales used were tested with regard to validity and reliability. The chi-square test, Fisher’s exact test and Mann–Whitney U test were used to draw relationships between the variables. Findings The findings indicated significant gender differences in perceptions of barriers and entrepreneurial intentions among youth. The findings also showed that the barrier perceptions and the entrepreneurial intentions between genders vary with change in culture at the regional level. Originality/value This paper adds to the very limited research available on perceived barriers and entrepreneurial intentions that focuses on the effect of gender from a cross-cultural perspective. This paper further contributes by testing the results in two culturally diverse regions of a single state of India, which has helped us understand the impact of regional cultures while controlling for the effects of the entrepreneurship support systems provided by the governments in different nations.

The Effect of Culture and Product Categories on the Level of Use of Buy-It-Now (BIN) Auctions by Sellers

2010 ◽  
pp. 98-112
Author(s):  
Kevin K.W. Ho ◽  
Byungjoon Yoo ◽  
Seunghee Yu ◽  
Kar Yan Tam
Keyword(s):  
Conceptual Model ◽  
Positive Impact ◽  
Power Distance ◽  
Cultural Dimensions ◽  
Business Strategies ◽  
Market Mechanisms ◽  
Product Categories ◽  
Level Of Use ◽  
Negative Impacts ◽  
The Impact

While previous studies on buy-it-now (BIN) auctions focus on the impact of BIN format on economic performances, our study focuses on factors that affect the level of use of BIN auctions by sellers. We propose a conceptual model where culture and product categories are two important factors on the level of use of BIN auctions. Our empirical investigation shows that the level of use of BIN auctions can be explained by the Hofstede Cultural Dimensions. While power distance brings a positive impact, uncertainty avoidance and individualism bring negative impacts on the level of use of BIN auctions by sellers of different countries. Our result also shows that the level of use of BIN auctions by sellers increases with the ease of judging product quality. Our results provide valuable insights for marketplace operators to refine their business strategies and market mechanisms for expanding their businesses to overseas markets.

Higher Education Scenario from a Cross-Cultural Perspective

2012 ◽  
Vol 10 (4) ◽  
pp. 44-55
Author(s):  
Enric Serradell-López ◽  
Pablo Lara-Navarra ◽  
Cristina Casado-Lumbreras
Keyword(s):  
Higher Education ◽  
Higher Education Institutions ◽  
Cross Cultural ◽  
Cultural Dimensions ◽  
Cultural Perspective ◽  
Relevant Research ◽  
The World ◽  
Strategy Design ◽  
The Impact ◽  
Do So

Higher education institutions are crucial in the present. Universities play a role that varies with time and evolves with society. Globalization is changing the world and affecting higher education institutions in all their intrinsic characteristics: personnel, programs, infrastructures and students. Analyzed is the relevant research on cultural dimensions and applies it to higher education institutions focusing the analysis of the impact on eLearning setups. To do so, variables related to organizational strategy, design of curricula and teaching tools are proposed and analyzed from a set of cultural dimensions. Results show that higher education institutions are facing big challenges in their adaptation to multi-cultural arrangements.

scholarly journals Cultural influences on normative reactions to incivility: comparing individuals from South Korea and Spain

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chanki Moon ◽  
Ángel Sánchez‐Rodríguez
Keyword(s):  
Social Power ◽  
Power Distance ◽  
Cultural Influences ◽  
Cultural Dimensions ◽  
Content Type ◽  
Occupational Position ◽  
Collective Levels ◽  
Higher Power ◽  
Uncivil Behaviors ◽  
The Impact

Purpose Antecedents and influences of workplace incivility have recently been studied in many areas of research but there is still a lack of consideration for the impact of culture. Theoretical considerations for the present research are based on the cultural dimensions of power distance and tightness/looseness because the collective levels of power distance are similar between Korea and Spain, but the collective levels of tightness/looseness are different between the two countries. The purpose of this paper is to examine whether individuals’ occupational position affects their normative reactions to incivility differently. Design/methodology/approach Participant (victim)’s (those who react to uncivil behaviors) social power (low vs high) and perpetrator’s (those who exhibit uncivil behaviors) social power (low vs high) were experimentally manipulated; all participants were randomly assigned to one of four perpetrator × victim conditions in relation to hierarchical positions (Ntot = 467). Findings The results suggest that the level of social and personal acceptability was greater either among Koreans than Spanish at a collective level or among people who endorsed higher power distance and tightness values. All in all, the findings highlight cultural influences on the importance of social hierarchy as a factor that can impact the people’s normative reactions to incivility. Originality/value The findings broaden our understanding of the psychology of employees in relation to incivility, by simultaneously considering the influences of culture (power distance and tightness/looseness) and social power.

scholarly journals An international study of the impact of cultural factors on the prevalence of family-owned firms

2009 ◽  
Vol 6 (4) ◽  
pp. 524-531
Author(s):  
Amir Shoham ◽  
Varda Yaari
Keyword(s):  
Power Distance ◽  
International Study ◽  
Cultural Factors ◽  
Cultural Dimensions ◽  
Family Ownership ◽  
Key Characteristics ◽  
The Family ◽  
The World ◽  
The Impact ◽  
Ownership Types

A key question in international corporate governance is why certain in ownership types are prevalent in different countries around the world (La Prota et al., 1999). In this study, we provide an answer for the prevalence of the family-owned firms in 42 countries by examining key characteristics of culture. We show that family-ownership is positively correlated with power distance (PD), in-group collectivism (CI) and, insignificantly, with uncertainty avoidance (UA). Our study makes a contribution to the field since previous research used religion and language as umbrella constructs for culture, while we pinpoint specific cultural dimensions

scholarly journals Effect Of Cultural Dimensions On Stock Exchange Investment Decisions In Iran

2012 ◽  
Vol 10 (12) ◽  
pp. 681
Author(s):  
Zahra Amirhosseini ◽  
Vivian O. Okere
Keyword(s):  
Significant Relationship ◽  
Stock Exchange ◽  
Power Distance ◽  
Investment Decisions ◽  
Cultural Dimensions ◽  
Main Hypothesis ◽  
Geert Hofstede ◽  
Personal Investment ◽  
The Impact ◽  
The Relationship

The purpose of this study is to analyze the impact of cultural dimensions on personal investment decisions in the Tehran Stock Exchange. The cultural dimensions model was well established by Geert Hofstede (1980). This research tested a main hypothesis and four subsidiary hypotheses. The data was gathered through library methods and questionnaires. The results showed that the main hypothesis which examined whether there is a significant relationship between cultural dimensions and investment decisions in the Tehran stock exchange was confirmed. Subsidiary hypothesis about the relationship between two of Hofstedes cultural dimensions, Power Distance and Individualism, and investment decisions was not confirmed at a meaningful level. However other subsidiary hypothesis of the research based on the relationship between Masculinity and Uncertainty Avoidance and investment decisions was significant at a meaningful level and confirmed.

scholarly journals The Impact of Cultural Dimensions on Islamic Students’ Attitude Towards Problem-Based Learning

2016 ◽  
pp. 27
Author(s):  
Esti Zaduqisti
Keyword(s):  
Regression Analysis ◽  
Multiple Regression Analysis ◽  
Power Distance ◽  
Problem Based Learning ◽  
Uncertainty Avoidance ◽  
Cultural Dimensions ◽  
Cultural Dimension ◽  
Sampling Inspection ◽  
Norms And Values ◽  
The Impact

The current study aims to examine the impact of cultural dimensions (i.e., collectivism, power distance, uncertainty avoidance, and masculinity) on students’ attitude towards problem-based learning. The design of the current study was a correlational survey, wherein participants were recruited by means of a convenient sampling. Inspection of a multiple regression analysis (N = 549) revealed that collectivism and masculinity positively corresponded with the attitudes. In particular, we found that that the higher the level of collectivism and masculinity, the more students supported the implementation of problem-based learning. In contrast, uncertainty avoidance was negatively related to the attitude in such a way that the higher this cultural dimension, the less students supported problem-based learning. Power distance was the only predictor that did not significantly predict students’ attitude towards problem-based learning. These findings overall suggest the importance of taking into account the characteristics of norms and values people hold within a country that might contribute to the success, feasibility, and  suitability of problem-based learning. Theoretical implications and study limitations of the current findings are discussed, as are practical strategies highlighting on how to deal with cultural potentials and pitfalls in an attempt to promote problem-based learning.

The Impact of National Culture Dimensions on the Adoption of Cross-Border E-Commerce

2020 ◽  
Vol 12 (4) ◽  
pp. 91-112
Author(s):  
Isaac Kofi Mensah ◽  
Guohua Zeng ◽  
Chuanyong Luo
Keyword(s):  
Power Distance ◽  
Uncertainty Avoidance ◽  
Cultural Dimensions ◽  
Chinese Sample ◽  
Cross Border ◽  
Performance Expectancy ◽  
Culture Dimensions ◽  
Effort Expectancy ◽  
The Impact

This study integrated the cultural dimensions such as power distance, collectivism, uncertainty avoidance, masculinity, and long-term orientation into the UTAUT to examine the comparative impact of cultural dimensions on the adoption of cross-border e-commerce between the Chinese and Russian citizens. The data analysis was conducted with SPSS and Smart PLS 3.0. The results indicate that power distance, collectivism, and long-term orientation respectively were significant predictors of performance expectancy and effort expectancy of cross-border e-commerce for both Chinese and Russian citizens. Uncertainty avoidance and masculinity were also found to determine the performance expectancy of cross-border e-commerce. However, while uncertainty avoidance and masculinity were significant determinants of the effort expectancy of cross-border e-commerce in the context of the Russia sample, it was not so for the Chinese sample. In addition, performance expectancy and social influence were positive predictors of the intention to use cross-border e-commerce for both Chinese and Russia samples.

scholarly journals Russian Pre-Service and Young In-Service Teachers’ Views on Cultural Dimensions of Russian Education: Power Distance

2016 ◽  
Vol 3 (2) ◽  
Author(s):  
Victoria Pogosian
Keyword(s):  
School Administration ◽  
Power Distance ◽  
Typical Feature ◽  
Cultural Factors ◽  
Cultural Dimensions ◽  
Educational Settings ◽  
Large Power ◽  
State Pedagogical ◽  
Points Of View ◽  
Russian Education

The article discusses Power Distance as one of the cultural dimensions of Russian education based on the perceptions and views of Russian pre-service and young in-service teachers. These views were elicited in the context of a 2 ECTS master’s degree course, “Cultural Dimensions of Education,” offered at Herzen State Pedagogical University of Russia. The course includes Hofstede’s framework of cultural dimensions and the manifestation of these dimensions in educational settings, Hall’s cultural-factors theory (particularly high- and low- context cultures and monochronic versus polychronic cultures), but the research focuses on only one of the cultural dimensions, Hofstede’s Power Distance. The students’ reflections on their own experiences presented in writing as case studies and discussed with their peer students have been analyzed. Evidence has been gained that large Power Distance is a typical feature of Russian educational settings’ attitudes and relationships among all the actors—school administration, teachers, pupils, and their parents. The article discusses some of the cases presented and analyzed by the students and their arguments supporting their points of view. 

scholarly journals The Impact of the Family-owned Businesses Specificity on the Dominance of the Cultural Features in their Organizational Structures – Theoretical Approach

2014 ◽  
Vol 6 (4-2) ◽  
pp. 49-66
Author(s):  
Małgorzata Bartosik-Purgat ◽  
Alicja Hadryś-Nowak
Keyword(s):  
Power Distance ◽  
Organizational Structures ◽  
Family Businesses ◽  
Organization Culture ◽  
Cultural Dimensions ◽  
International Studies ◽  
The Family ◽  
Cultural Traits ◽  
The Impact ◽  
Specific Impact

Abstract The purpose of this article is to show how the specifics of family businesses (the „familiness”) affects the company’s organization culture. In other words, the article aim is to identify the specific impact of family businesses on certain cultural traits identified in international studies and in the literature as „culture’s dimensions „.Literature analysis and the results of previous research on family businesses let the authors to specify a list of characteristics that „possession”, in the most comprehensive way, describes the specifics of the family business. Based on the literature review authors decided to select some dimensions - cultural traits that are particularly distinctive and noticeable in family businesses, such as: universalism/particularism and status assigned/achieved according to Trompenaars and Hampden-Turner, power distance and femininity/masculinity according to Hofstede, pro-partnership/pro-transaction according to Gesteland. Combining the specificity of family and selected cultural dimensions authors found that in family businesses predominate particularistic behavior, hierarchies, there is also a high power distance but with the advantage of setting pro-partnership and female characteristics. In family businesses, there is also a predominance of assigned status. Conducted analysis leads authors to the conclusion that family businesses, regardless of their country and its cultural differences in which they operate, have common features, which are expressed in the intensity of specific cultural characteristics. The article is a theoretical analysis and will be the basis for forward empirical research 1 m.

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